Natural gas jumps to $2.45 while electricity remains capped at 6.8¢
By Medicine Hat News on November 2, 2019.
The cost of natural gas will rise by more than half in November, according to new rates released by the City of Medicine Hat on Friday, while a rising price for power remains capped under a provincial program that is still under review. Local utility customers, who pay commodity rates set at the Alberta average, will see gas rise to $2.45 per gigajoule for gas (up 94-cents in October), while power price on customer bills is a standard 6.8 cents per kilowatt hour. That’s the maximum that retailers can pass on to consumers, while the difference with the actual rate is paid directly to utility companies by the province, though the energy ministry has vowed to review the program that was funded originally by the now cancelled Alberta carbon levy. The market calculation pegs power at 8.048-cents, up from 7-cents last month, with the high price of 8.63-cents set by Epcor for Edmonton service. The low price is 7.4-cents from Enmax. In the gas calculation, rates from Direct Energy ($2.52) and AltaGas ($2.36), determine the local price of $2.45. The Hat’s rate in October was $1.51. 6-5
